Buying a home in Livingston County Michigan has never been easier or better. Now notice I did not say that “anybody” can do it. But practically anybody can do it.
ONE TO GET READY-TWO CHECK OUT THE MARKET-
3 GO PAST GO AND COLLECT $8000.00
ONE TO GET READY-Besides having a credit score in the mid 600s you need to have a debt to income level that will allow the lender to lend you the money you need to buy. In other words, you need to be qualified by a lender BEFORE you get too serious and spend a lot of time shopping.
House prices are still declining but not as much as they have previously. In our area we are seeing the average price, that is highs and lows mixed and averaged, at about $127,000. That is down from about $147,000 at this time last year. It still is not all about price though. As I have said before, location and condition are huge factors.
THREE MARKETS AWAIT THE “READY BUYER“
2 -CHECK OUT THE MARKETS-Basically, as I see it, there are 3 markets and they change quickly nearly everyday as well priced properties are selling quickly. The foreclosure market, short sale market and the non shortsale market. Let me explain how each one works in general.
The foreclosure market are BANK OWNED Assets and well priced ones go in less than 30 days so you have to move fast and be working with an agent who can get you there. The bank does not look at these places as “homes” just assets. They have spent time and money having the asset looked at, made secure and appraised by professionals to give that far away lender “feet on the ground” and “eyes on” analysis. It is on an “as is” basis. Yet buyers come in and make even lower offers trying to steal a steal. Usually they will miss one or more before they get one. Why? Oh, for several reasons. The main one is that they want to bid too low and somebody else comes with a higher offer. Happens all of the time. If you want it then my advice is bid very close if not a little over asking. And, have your paperwork in order from a lender who is also someone you can talk with. Most agents will roll their eyes when they hear you are working with an Internet lender some where in I-CAN’T UNDERSTAND YOU LAND or at least out of state. Trying to get the lowest rate on a mortgage is not always the smartest thing to do. I’ll take a local mortgage officer anyday.
The short sale market is a market that “tries men’s and woman’s souls.” You will hear that it takes a long time for a short sale to go through, and it will. Usually 10 to 12 weeks to get through all of the phases. So if you want a great buy on a home that is warm and comfy inside, take care of and usually not beat out to kingdom come, then a short sale is the way to go. But if you are a time line and need to get into a house quickly, I would say no, this is not for you. Like a foreclosure, the lender has two or even 3 BPO’s or Broker Price Opinons on the property. What this does is give them a good idea of what their “Asset” is actually worth. Remember to that this sale will be subject to their approval, and if there happens to be a second mortgage on it, they have to okay the transaction and possibly the home owner may say no to the banks proposal to them. Some times the bank wants their pound of flesh from the seller and the seller can say “no” I am not going to agree. Not always but some times. So, again you have to decide, am I a very patient person who has all of the time iin the world or am I in a hurry.
Finally we get to the “non” foreclosure or short sale. This is usually someone who owns their home out right or they have a small mortgage. Once in awhile they are willing to bring cash to closing to finish paying off the bank. These homes generally are very nice and the seller, although they want to sell, are not going to compete with the foreclosure or short sale. There is a premium on these and they usually can do better than the others. Why? No waiting, get it now, and sometimes they will have some pretty nice stuff that they are willing to include. Sometimes, not always. In a few sales I have noticed that they are more likely to counter offer and sometimes aggressivly. They are willing to fight for their equity. So if you try a low offer on one of these do not be surprised or offended if they come back at full price or very close to it.
3 TO GO PAST GO AND COLLECT YOUR TAX CREDIT- Hey there is only about 90 days left to claim you tax credit on a purchase of new home by a first time home buyer. If you have owned a previous home for at least 5 years, you can also qualify for a tax credit with some qualifying conditions up to $6500. So if you would like to reach me to talk about your situation, I am generally available to do that. You can reach me on email at billpark@kw.com. I HAVE A GREAT website AT www.parkplaces.comwhere I have plenty of search tools. I will do a property analysis for you providing you are not working with another agent under-contract and you are in my market area which is primarily the Western suburbs of Metro Detroit and includes Ann Arbor and north to the Southern part of Genesee County and the western part of Oakland County. See you at the closing table.
Comments (0)